Lafayette FCU Rebuffs Board Recall Bid

KENSINGTON, Md. – Lafayette FCU acted yesterday to quash a member petition urging a vote on a recall of the board of directors, under fire for its failed attempt to convert the $330 million credit union to bank. Lafayette Chairman Arnold Rosenthal notified organizers of a recall attempt that the credit union’s own review had disqualified enough member signatures to quash the petition initiative. In addition, the credit union chief added, the credit union would not accept the petition because it was based on ‘false’ and ‘misleading’ information, according to a letter sent by Rosenthal to the organizers. Tom Carter, one of the organizers of the recall petition, said yesterday his group wants to meet and discuss their options. The petitioners have qualified two representatives to run for the board at next month’s annual meeting. Credit union representatives were not available to comment last night. Lafayette had planned to convert to a mutual savings bank, then to public bank, but a narrow vote on the charter switch was disqualified by NCUA, prompting the credit union to withdraw its conversion bid.